Kenya leading in intra-EAC trade despite decline in exports

Kenya’s exports to other nations in the East African Community (EAC) has continued to dwindle over the years, occasioned by an increase in the manufacturing power according to EAC CS Adan Mohamed. In 2015, the country’s export to the other countries was 1.26 billion dollars, in 2016 it was 1.21 billion dollars, and last year it was cut further to 1.14 billion dollars. Tanzania recorded the biggest cuts in imports from Kenya. “Naturally all these countries are also growing, they are also industrializing and they are increasing their manufacturing capability and they will try and do the same in terms of taking advantage of the common market,” said Adan.

Kenya still reigns supreme in intra-EAC trade ahead of Uganda and Tanzania, although the intra-regional trade also declined from 5.1 billion dollars in 2015 to 4.4 bill doll in 2016. Morever, CS Mohamed said he hopes Kenya will be ranked favorably in this year’s World Bank ease of doing business ranking. Last year, the country was ranked at position 80, and the CS said the target to reach position 50 by the year 2020 is still on. “The trajectory towards this goal continues to be on track as competitiveness in EAC and globally, heightens as a critical ingredient to attracting investments,” he said. Developments in Kenya’s infrastructure sector offer much optimism according to the EAC CS, including the setting up of One Stop Border posts at Malaba, Busia, Holili, Isibania and Namanga.